HOUSE BILL 40

44th legislature - STATE OF NEW MEXICO - second session, 2000

INTRODUCED BY

Luciano "Lucky" Varela





FOR THE LEGISLATIVE FINANCE COMMITTEE



AN ACT

RELATING TO PROCUREMENT; REQUIRING REVIEW AND ANALYSIS OF PROFESSIONAL SERVICES CONTRACTS.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 13-1-118 NMSA 1978 (being Laws 1984, Chapter 65, Section 91) is amended to read:

"13-1-118. COMPETITIVE SEALED PROPOSALS--PROFESSIONAL SERVICES CONTRACTS--CONTRACT REVIEW.--

A. All contracts for professional services with state agencies shall be reviewed as to form, legal sufficiency and budget requirements by the general services department or the department of finance and administration if required by the [regulations] rules of either or both of the departments. This section shall not apply to contracts entered into by the legislative branch of state government, the judicial branch of state government or the boards of regents of state educational institutions named in Article 12, Section 11 of the constitution of New Mexico.

B. The state budget division and the management and contracts review division of the department of finance and administration shall review all proposed requests for proposals and all proposed professional services contracts that may supplant state employees in the performance of a state agency's duties or delivery of services. The review and analysis shall include:

(1) documentation that the state agency does not have the funding and the full-time-equivalent positions to carry out the duty or deliver the service;

(2) documentation that the duty or delivery requires skills or knowledge not possessed by state agency staff and that the state agency has been unable to employ persons with the required skills or knowledge, including efforts made by the state agency to train current staff or employ skilled or knowledgeable persons;

(3) a cost-benefit analysis that uses a methodology similar to the federal office of management and budget's cost-benefit evaluation for the performance of commercial activities and that includes an objective evaluation of state and private resources; and

(4) contract provisions that specify how the state agency will monitor the contractor and ensure accountability and maintenance of state agency standards."

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